The value of improved road safety
We report the results of a contingent valuation study for finding a conservative estimate of the value-of-statistical-life in an urban road safety context in Sweden. We estimate the value of both a private-good device and a public-good safety program. The reduction of risk is communicated with a “community analogy” representation of the “Vision Zero” target of the national traffic-safety policy. According to this target, the road-traffic system should be designed so as to prevent accidents when they happen to lead to fatalities or severe injuries. We use the “certainty approach” for ex-post correction of results to remove or mitigate hypothetical bias of responses. As expected we find insensitivity of responses in the full sample to the size of the risk reduction being valued. By our approach we can compute a conservative estimate, based on answers from fully confident respondents, of the value of the largest possible safety enhancement (i.e. fulfilment of the “Vision Zero”). This lower bound estimate indicates a higher average willingness-to-pay for public safety-improving measures than currently assumed in benefit-cost assessments. We also find that the willingness to pay is considerably lower within a public-good than a private-good framework and a weak indication of sensitivity to scale among the most confident respondents. Copyright Springer Science + Business Media, LLC 2006
If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.
Volume (Year): 32 (2006)
Issue (Month): 2 (March)
|Contact details of provider:|| Web page: http://www.springer.com|
|Order Information:||Web: http://www.springer.com/economics/economic+theory/journal/11166/PS2|
References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Christian A. Vossler & Robert G. Ethier & Gregory L. Poe & Michael P. Welsh, 2003.
"Payment Certainty in Discrete Choice Contingent Valuation Responses: Results from a Field Validity Test,"
Southern Economic Journal,
Southern Economic Association, vol. 69(4), pages 886-902, April.
- Ethier, Robert G. & Poe, Gregory L. & Vossler, Christian A. & Welsh, Michael P., 2001. "Payment Certainty in Discrete Choice Contigent Valuation Responses: Results from a Field Validity Test," Working Papers 127668, Cornell University, Department of Applied Economics and Management.
- Magnus Johannesson & Bengt Liljas & Per-Olov Johansson, 1998. "An experimental comparison of dichotomous choice contingent valuation questions and real purchase decisions," Applied Economics, Taylor & Francis Journals, vol. 30(5), pages 643-647.
- Fischbacher, Urs & Gachter, Simon & Fehr, Ernst, 2001. "Are people conditionally cooperative? Evidence from a public goods experiment," Economics Letters, Elsevier, vol. 71(3), pages 397-404, June.
- Urs Fischbacher & Simon Gaechter & Ernst Fehr, "undated". "Are People Conditionally Cooperative? Evidence from a Public Goods Experiment," IEW - Working Papers 016, Institute for Empirical Research in Economics - University of Zurich.
- Corso, Phaedra S & Hammitt, James K & Graham, John D, 2001. "Valuing Mortality-Risk Reduction: Using Visual Aids to Improve the Validity of Contingent Valuation," Journal of Risk and Uncertainty, Springer, vol. 23(2), pages 165-184, September.
- Richard Carson & Nicholas Flores & Norman Meade, 2001. "Contingent Valuation: Controversies and Evidence," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 19(2), pages 173-210, June.
- Carson, Richard T & Flores, Nicholas A, 2000. "Contingent Valuation: Controversies and Evidence," University of California at San Diego, Economics Working Paper Series qt75k752s7, Department of Economics, UC San Diego.
- Cummings, Ronald G, et al, 1997. "Are Hypothetical Referenda Incentive Compatible?," Journal of Political Economy, University of Chicago Press, vol. 105(3), pages 609-621, June.
- Alberini, Anna & Cropper, Maureen & Krupnick, Alan & Simon, N.B.Nathalie B., 2004. "Does the value of a statistical life vary with age and health status? Evidence from the US and Canada," Journal of Environmental Economics and Management, Elsevier, vol. 48(1), pages 769-792, July.
- Hammitt, James K & Graham, John D, 1999. "Willingness to Pay for Health Protection: Inadequate Sensitivity to Probability?," Journal of Risk and Uncertainty, Springer, vol. 18(1), pages 33-62, April.
- Kahneman, Daniel & Knetsch, Jack L., 1992. "Valuing public goods: The purchase of moral satisfaction," Journal of Environmental Economics and Management, Elsevier, vol. 22(1), pages 57-70, January.
- Viscusi, W Kip & Aldy, Joseph E, 2003. "The Value of a Statistical Life: A Critical Review of Market Estimates throughout the World," Journal of Risk and Uncertainty, Springer, vol. 27(1), pages 5-76, August.
- W. Kip Viscusi & Joseph E. Aldy, 2003. "The Value of a Statistical Life: A Critical Review of Market Estimates throughout the World," NBER Working Papers 9487, National Bureau of Economic Research, Inc.
- Brown, Thomas C. & Ajzen, Icek & Hrubes, Daniel, 2003. "Further tests of entreaties to avoid hypothetical bias in referendum contingent valuation," Journal of Environmental Economics and Management, Elsevier, vol. 46(2), pages 353-361, September.
- Ready Richard C. & Whitehead John C. & Blomquist Glenn C., 1995. "Contingent Valuation When Respondents Are Ambivalent," Journal of Environmental Economics and Management, Elsevier, vol. 29(2), pages 181-196, September.
- Nape, Steven & Frykblom, Peter & Harrison, Glenn W. & Lesley, James C., 2003. "Hypothetical bias and willingness to accept," Economics Letters, Elsevier, vol. 78(3), pages 423-430, March.
- Peter Frykblom & Glenn Harrison & Clay Lesley & Stephen Nape, 2002. "Hypothetical Bias and Willingness to Accept," Working Papers 02-14, Department of Economics, Appalachian State University.
- Persson, Ulf & Norinder, Anna & Hjalte, Krister & Gralén, Katarina, 2001. "The Value of a Statistical Life in Transport: Findings from a New Contingent Valuation Study in Sweden," Journal of Risk and Uncertainty, Springer, vol. 23(2), pages 121-134, September.
- Olof Johansson-Stenman & Peter Martinsson, 2005. "Anyone for higher speed limits? – Self-interested and adaptive political preferences," Public Choice, Springer, vol. 122(3), pages 319-331, March.
- Johansson-Stenman, Olof & Martinsson, Peter, 2003. "Anyone for Higher Speed Limits? - Self-Interested and Adaptive Political Preferences," Working Papers in Economics 95, University of Gothenburg, Department of Economics.
- Anna Alberini, 2004. "Robustness of VSL Values from Contingent Valuation Surveys," Working Papers 2004.135, Fondazione Eni Enrico Mattei.
- Anna Alberini, 2005. "Robustness of VSL Values from Contingent Valuation Surveys," NCEE Working Paper Series 200501, National Center for Environmental Economics, U.S. Environmental Protection Agency, revised Jan 2005.
- Simon Gachter & Ernst Fehr, 2000. "Cooperation and Punishment in Public Goods Experiments," American Economic Review, American Economic Association, vol. 90(4), pages 980-994, September.
- Ernst Fehr & Simon Gaechter, "undated". "Cooperation and Punishment in Public Goods Experiments," IEW - Working Papers 010, Institute for Empirical Research in Economics - University of Zurich.
- Ernst Fehr & Simon Gaechter, 1999. "Cooperation and Punishment in Public Goods Experiments," CESifo Working Paper Series 183, CESifo Group Munich.
- Liljas, Bengt & Blumenschein, Karen, 2000. "On hypothetical bias and calibration in cost-benefit studies," Health Policy, Elsevier, vol. 52(1), pages 53-70, May.
- Milgrom,Paul, 2004. "Putting Auction Theory to Work," Cambridge Books, Cambridge University Press, number 9780521536721, Diciembre.
- Milgrom,Paul, 2004. "Putting Auction Theory to Work," Cambridge Books, Cambridge University Press, number 9780521551847, Diciembre.
- Karen Blumenschein & Magnus Johannesson & Glenn C. Blomquist & Bengt Liljas & Richard M. O’Conor, 1998. "Experimental Results on Expressed Certainty and Hypothetical Bias in Contingent Valuation," Southern Economic Journal, Southern Economic Association, vol. 65(1), pages 169-177, July.
- John List & Craig Gallet, 2001. "What Experimental Protocol Influence Disparities Between Actual and Hypothetical Stated Values?," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 20(3), pages 241-254, November.
- Tobias Heldt, 2005. "Conditional cooperation in the field: Cross-country skiers' behavior in sweden," Natural Field Experiments 00268, The Field Experiments Website.
- Gregory Poe & Jeremy Clark & Daniel Rondeau & William Schulze, 2002. "Provision Point Mechanisms and Field Validity Tests of Contingent Valuation," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 23(1), pages 105-131, September.
- Peter A. Diamond & Jerry A. Hausman, 1994. "Contingent Valuation: Is Some Number Better than No Number?," Journal of Economic Perspectives, American Economic Association, vol. 8(4), pages 45-64, Fall.
- Champ, Patricia A. & Bishop, Richard C. & Brown, Thomas C. & McCollum, Daniel W., 1997. "Using Donation Mechanisms to Value Nonuse Benefits from Public Goods," Journal of Environmental Economics and Management, Elsevier, vol. 33(2), pages 151-162, June.
- repec:reg:rpubli:282 is not listed on IDEAS
- Norinder, Anna & Hjalte, Krister & Persson, Ulf, 2001. "Scope and scale insensitivities in a contingent valuation study of risk reductions," Health Policy, Elsevier, vol. 57(2), pages 141-153, August.
- Kip Viscusi, W. & Magat, Wesley A. & Huber, Joel, 1991. "Pricing environmental health risks: survey assessments of risk-risk and risk-dollar trade-offs for chronic bronchitis," Journal of Environmental Economics and Management, Elsevier, vol. 21(1), pages 32-51, July.
- Patricia Champ & Richard Bishop, 2001. "Donation Payment Mechanisms and Contingent Valuation: An Empirical Study of Hypothetical Bias," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 19(4), pages 383-402, August.
- Ian J. Bateman & Richard T. Carson & Brett Day & Michael Hanemann & Nick Hanley & Tannis Hett & Michael Jones-Lee & Graham Loomes, 2002. "Economic Valuation with Stated Preference Techniques," Books, Edward Elgar Publishing, number 2639, July.
- Ulf Persson & Anna Trawén & Anna Norinder & Krister Hjalte & Henrik Andersson, 2001. "Relative risk values of non-fatal traffic injuries - a comparison between contingent valuation, risk-risk trade off and standard gamble methods," Swiss Journal of Economics and Statistics (SJES), Swiss Society of Economics and Statistics (SSES), vol. 137(I), pages 117-128, March.
- Fujii, Satoshi & Gärling, Tommy, 2003. "Application of attitude theory for improved predictive accuracy of stated preference methods in travel demand analysis," Transportation Research Part A: Policy and Practice, Elsevier, vol. 37(4), pages 389-402, May.
- Johannesson, Magnus & Blomquist, Glenn C. & Blumenschein, Karen & Johansson, Per-olov & Liljas, Bengt & O'Conor, Richard M., 1999. "Calibrating Hypothetical Willingness to Pay Responses," Journal of Risk and Uncertainty, Springer, vol. 18(1), pages 21-32, April. Full references (including those not matched with items on IDEAS)
When requesting a correction, please mention this item's handle: RePEc:kap:jrisku:v:32:y:2006:i:2:p:151-170. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Sonal Shukla)or (Rebekah McClure)
If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.
If references are entirely missing, you can add them using this form.
If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.
If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.
Please note that corrections may take a couple of weeks to filter through the various RePEc services.